NASDAQ:INBS News 31 December 2025 - 2 January 2026

January 30, 2026, 1:58 PM EST. Shares of Allison Transmission Holdings (ALSN) rose 12.8% in the past month and 35.1% over three months, reversing a 4.9% decline over one year. The stock trades near $111.56, above a popular fair value estimate of $100.20, suggesting it may be overvalued by 11.3%. This valuation gap stems from optimism around its electrified powertrain growth, including hybrid bus and defense transmission orders, against risks like softening medium-duty truck demand and integration challenges from its Dana acquisition. In contrast, a discounted cash flow model values ALSN shares much higher at $256.55, implying a 56.5% undervaluation versus current prices. Investors face a fundamental question on which valuation view better reflects future cash flows and growth prospects in the aerospace and defense sectors.